Do sales on a profit loss statement include the sales tax?

It shouldn't. Collections of sales tax results in a current liability, as the funds collected are supposed (stressed VERY heavily) to be remitted to the state. Some states give a credit of 1% or so of the collections as compensation for collecting, remitting and reporting sales tax collections, and THAT credit may be lumped into sales if the figure was small enough 0 typically it is. IE: $100 sale 6% tax - total received = $106.00 Debit - Cash $106.00

Credit - Sales Taxes Payable - ($ 6.00)

Credit - Sales ($100.00) Tax collected and paid never hits the income statement, it stays on the balance sheet.